Q1 growth validates strong fundamentals of economy, says Bibek Debroy
New Delhi, Aug 31: Chairman of Economic Advisory Council to Prime Minister (EAC-PM) Bibek Debroy today said that 8.2 per cent economic growth in the April-June quarter of current fiscal validates that the economic fundamentals of the country remain robust.
The Indian economy grew at 8.2 per cent in the first quarter of 2018-19 on good show by manufacturing and farm sectors. Debroy attributed the rise in economic growth to continued impetus on structural reforms and effective implementation of ongoing policy initiatives.
"The focus on boosting capital spend in infrastructure sector and multiple initiatives to provide universal access to basic goods and services has not only contributed to this growth but has improved its quality as well... This also validates that the economic fundamentals remain robust," said an official statement, quoting Debroy. He further said that despite an uncertain international environment and volatile crude oil prices, India's sustained growth reflects its strong resilience to adverse global conditions, because of strong economic fundamentals.
The encouraging growth rates in agriculture, manufacturing and construction show that the momentum continues to be broad based, the statement noted. It also said that favourable monsoons are also expected to boost agricultural output and rural consumption in the coming quarters.
The CSO estimates state that GDP at constant prices was Rs 33.74 lakh crore for the first quarter 2018-19, up from Rs 31.18 lakh crore and Rs 29.42 lakh crore for the same period of 2017-18 and 2016-17, respectively.